13.2 C
London
Wednesday, November 25, 2020

As tech stocks rally, bring on the IPOs

During yesterday’s tense voting and this morning, shares of American-listed technology companies are shooting higher.

The tech-heavy Nasdaq composite is up around 3.35% this morning, more than double what the broad S&P 500 index is currently managing. SaaS and cloud stocks kicked off the day up a staggering 4.98%, a sharp rally in the value of smaller, more growth-oriented technology companies.


The Exchange explores startups, markets and money. Read it every morning on Extra Crunch, or get The Exchange newsletter every Saturday.


For technology companies on the wings of the IPO market, it’s great news.

In 2020 it can be easy to forget, but tech stocks do not have to rise. They merely have in recent months, perhaps warming the waters for more technology debuts as the fourth quarter races toward its midpoint. The Exchange has heard whispers from several folks that the late-November/early-December period could be active for new filings, bringing rising stocks and pent-up demand together for a possible IPO run.

We’ll see. Today’s rally — and ballot measure results in California — could be the push companies like Airbnb and DoorDash needed to stop faffing around with private filings.

In pedestrian terms, the getting is good right now for public tech companies, so if you are going to go public, go get got while the getting stays good.

Today, let’s examine recent market gains for tech stocks and remind ourselves who is expected to go public next. Then, of course, chat about all the unicorns on the unofficial IPO list who could find a greased path ahead of them toward a flotation.

Gains

Big tech stocks are gaining, small stocks are up and software companies are hot. The NASDAQ is now less than 5% away from its all-time highs, and the Bessemer Cloud Index is now just 9% down from its own, a rebound from its prior status in correction territory. (A correction occurs when an index falls 10% or more from highs.)

So, who does the rally help? Let’s rock through a list:

This post courtesy of techcrunch

Latest news

‘The fight continues’: Colombia protests persist despite pandemic

Rose petals form a circle surrounding a picture of Dilan Cruz on the site where he was shot during a protest to commemorate a...

Trump pardons ex-National Security Adviser Flynn

shareSharenocloseShare pagelinkCopy linkAbout sharingUS President Donald Trump has pardoned his former top security adviser Michael Flynn, who pleaded guilty to lying to the FBI.The...

Trump pardons former National Security Adviser Michael Flynn

BREAKINGIn a tweet, President Trump pardons Flynn who had pleaded guilty to lying to the FBI during an investigation of Russian meddling in the...

Biden Thanksgiving speech: We're at war with the virus, not each other

shareSharenocloseShare pagelinkCopy linkAbout sharingUS President-elect Joe Biden has called for an end to the "grim season of division", as the country faces a long,...

Related news

‘The fight continues’: Colombia protests persist despite pandemic

Rose petals form a circle surrounding a picture of Dilan Cruz on the site where he was shot during a protest to commemorate a...

Trump pardons ex-National Security Adviser Flynn

shareSharenocloseShare pagelinkCopy linkAbout sharingUS President Donald Trump has pardoned his former top security adviser Michael Flynn, who pleaded guilty to lying to the FBI.The...

Trump pardons former National Security Adviser Michael Flynn

BREAKINGIn a tweet, President Trump pardons Flynn who had pleaded guilty to lying to the FBI during an investigation of Russian meddling in the...

Biden Thanksgiving speech: We're at war with the virus, not each other

shareSharenocloseShare pagelinkCopy linkAbout sharingUS President-elect Joe Biden has called for an end to the "grim season of division", as the country faces a long,...

This post courtesy of techcrunch